Notes
1 INTRODUCTION
I. The 1990 population of Peninsular Malaysia was comprised of appro ximately 8.5 million Malays (58.2 per cent), 4.5 million Chinese (31.3 per cent), 1.4 million Indians (9.8 per cent), and the remainder, or 'other', less than 1 million (under I per cent) (Social Development Trends Bulletin 1991). 2. I was not able to obtain government statistics on the rate of increase in numbers of Malay businesses in recent years (see Chapter 6, note 2). One report demonstrates that the total number of Malay establishments increased ten times between 1971 and 1981 (Chiew Seen Kong 1993). 3. A crucial consequence of British rule after the nineteenth century was the entrenchment of ethnic occupational categories. Malays were concentrated in agriculture and colonia1 administration. Chinese and Indians were brought into the colony to work in British mines and plantations, and the Chinese also - as they did throughout Southeast Asia - flourished in trade; see Roff (1967). In 1969, the Chinese were still largely in trade and the Malays in the modern sector were in government service. 4. 'Special privileges' granted to the Malays by the British were written into the Constitution of independent Malaysia in 1957; see Chapter 4. These pro visions became the basis for the increase in Malay privileges and quotas after 1969. 5. The irony of NEP 'national unity' policies, according to some observers, is that NEP, by advantaging the Malays alone, acutely disadvantaged non Malays, especially concerning access to education (Jasbir Sarjit Singh 1991). 6. According to one ob server, the term bumiputera was revived by NEP policy-makers 'so that the non-Muslim natives of Sarawak and Sabah cou1d reinforce the Malays numerically, because otherwise the Malays wou1d have been a minority' in the nation (Milne 1981: 128-9). This perspective states that in order for the state to allocate a disproportionate amount of resources to bumiputera, it needed to justify its actions by including a greater number of citizens. 7. The 30 per cent target was not reached by 1990. Government figures indi cate that between 1971 and 1990, the rate of increase of bumiputera share ownership was 91 per cent, with bumiputera holding 20 per cent of all share capital compared to the Chinese, who held 44 per cent (Chiew Seen Kong 1993). Some observers believe statistics provided by the government on certain aspects of Malay development since 1970 are skewed to the 10w side, to justify continued Malay-only policy (Jesudason 1989; Mehmet 1986). 8. UMNO was founded to oppose British policy initiatives in the period after World War 11, when the Ma1ayan Union Plan was proposed to give equal
205 206 Notes
political participation to the whole population, regardless of ethnicity; this was perceived by the Malays as an attempt to abolish the system of Malay privileges. UMNO demanded - and achieved - retention of the sultan system and references to the special privileges of the Malays in the constitu tion (see Roff 1967). 9. For a discussion of the educational opportunities available within the hierar chy of the pre- and post-colonial Malay civi1 service, see Khasnor Johan (1984) and Puthucheary (1978). See Jasbir Sarjit Singh (1991) for a discus sion of how the children of these families benefited most from NEP. 10. See Scott's (1976) pivotal 'moral economy' thesis, which argues that tradi tional cultures do not develop economically because of conservative social formulations; Geertz (1963a) argues a similar point. 11. The ringgit is the Malaysian unit of currency. At the time of my research, 1 ringgit was equivalent to around US$0.38. The enormous resources for development since 1970 have come partially from foreign investment and domestic and foreign debt, and primarily from offshore petroleum dis covered in 1973 (Jesudason 1989). 12. Widely read authors McClelland (1961) and Hagen (1962) used Schumpterian theories. This model had a profoundly 'democratic' appeal to development banks in the 1960s and 1970s. 13. The two standard studies of Malay entrepreneurs define entrepreneurs in essentially Schumpeterian/Weberian terms. See Abdul Aziz Mahmud (1981) and Popen oe (1969). 14. There is a Malay term for entrepreneur - usahawan - but no one uses it. 15. An example is the American 'entrepreneur' Donald Trump. Upon his near bankruptcy, no one began calling hirn an 'ex-entrepreneur'.
2 OBLIGATION AND IDENTITY: PARENTS, SPOUSES, SIBLINGS, ANDMALAYS
1. I have given my informants pseudonyms except in two noted instances where individuals were public figures whose identities I did not feel bound to protect. I have also changed small details of some biographies or enter prises which I perceived were too revealing. 2. Chinese students do better on the national tests in both English and Bahasa Melayu than Malay students, a source of embarrassment to the govemment (Jasbir Sarjit Singh et al. 1989). 3. The '2020' came from 'Vision 2020', the Prime Minister' s highly touted economic and social plan. See Chapter 4. 4. Throughout this study, I shall refer to the group of entrepreneurial Malays as a status group, more in line with Weber's conception of stratification based on symbolic-cultural value (1974) than as a class determined by economic role in the Marxist sense (see A. Kahar Bador 1973; Cohen 1981 ). 5. For a similar point, see Biggart (1989) and Cohen (1981). 6. For discussions of aspects of Malay matrifocality, see Banks (1983) and Wazir Jahan Karim (1992). Notes 207
7. Arranged marriages were the norm in the generation of my informants' mothers; according to one study, the vast majority of women in that genera tion - 85 per cent - did not choose their own husband (Iones 1994). 8. In 1947, the median age at first marriage for Malay males was 23; in 1980 it was 26. For females during the same period, age at first marriage rose from 16.5 to 22.5 (Jones 1994). 9. Classics in this 'domains of balance' approach are the articles in Atkinson and Errington (1990). 10. Recent studies provide an increasingly sophisticated understanding of gender and its effects on social power and control in Southeast Asia. See Ong and Peletz (1995); Pe letz (1996). I I. The 1984/85 Malaysian Population and Family Survey showed that double income families constituted 44.2 per cent of all households in the country (New Straits Times, 15 May 1994). 12. Polygamy, the Prophet said, is intended to prevent such socially disruptive situations as widowhood and fatherless children as weil as an excess of single women. In Kuala Lumpur I knew of no case in which a man took a widow as his second wife; polygynous men generally marry young, pretty women. 13. McKinley (1975, 1981) has provided the authoritative discussion on the creation of kinship bonds through adoption in Malay society. 14. Contrary to standard theory about a lack of economic ties between Malay brothers (McKinley 1975), Malay brothers today do enter businesses together. Two of the three case studies in Part Ir involve this pattern, a ratio I found to be quite common in the businesses I studied. My informants acknowledged that this form of association was 'new' for them - they had borrowed it from the Chinese. In each case, however, the partnership was eventually abandoned. See Sloane (forthcoming). 15. It is said that the former Finance Minister, Daim Zainuddin, now the Prime Minister's economic adviser, picks all of his rising Malay corporate stars out of the MCKK network. 16. See Kessler (1992) for adescription of how the anomalous terms 'Malay', 'Muslim', and 'bumiputera' actually make definitions of ethnicity, religion, and race nearly impossible in contemporary Malaysia. 17. It is estimated that 1.5 million workers in a workforce of 8 million in Malaysia is comprised of illegal and legal immigrants, mostly Indonesians, Filipinos, and Bangladeshis (Financial Times, 19 September 1995). 18. For a discussion of the consequences of Chinese 'new villages' upon Chinese modernity, see Hirschman (1975). 19. For more discussion of these Chinese-Malay businesses, see Chapter 3. 20. The term 'holding company' has great significance in Malay entrepreneur ship. See Chapter 6.
3 THE ISLAMIC VIEW OF ENTREPRENEURSHIP: MODERNITY AND ITS REW ARDS
I. In the 1980s, UMNO's corporate holdings and many state-owned corpora tions were privatized. Gomez (1994) describes how well-placed Malay 208 Notes
'entrepreneurs' were granted massive stock ownership of these companies. Dato Hassan (the name is a pseudonym) is the director of one of the newly privatized conglomerates. 2. The term 'dalang' resonates with meaning in Malaysia, where the puppet master who controls the figures in the shadow-puppet play is a metaphor for one who has enormous power. 3. Biggart (1989) makes use ofWeber's 'virtuosi' argument in a slightly dif ferent way. Mine implies, as Weber's did, a greater role for spiritual service to God. 4. See Jesudason (1989) for a discussion of how multinational corporations in Malaysia were required to meet quotas of bumiputera managers. 5. This is a crucial concept about social relations in Islam: person-to-person relations are ideally established in such a way that they reflect person to-Allah relations, so that all worldly acts are tantamount to worship (Muhammah Syukri Salleh 1992). 6. My informants generally had not been involved in strict dakwah during their university days, where most young Malays are first exposed to it. In part, having attended university in the early and mid-1970s, they were not subject to the intense peer pressure of the late 1970s and early 1980s. In fact, many of them recalled beer-drinking and discoing in their university days, activi ties which would have been unheard of five years later. 7. Malays are loath to criticize the faith or piety of other Muslims, and gener ally believe that the more religious among them are better Muslims (Kamarrudin M. Said 1993). There is thus little open criticism of the dakwah movement itself, or public criticism of other Malays in general, for as Rokiah often said, 'Malays don't want the Chinese to think we are dis loyal to our own group'. 8. In time, PAS came to criticize NEP itself as an 'unIslamic economy' - see Mehmet (1990) - which gave much resonance to its critique of UMNO, the champion ofNEP. 9. Dato Hassan was alluding to the attempts by the state government of Kelantan, headed by PAS, to implement hudud punishments, requiring that certain offences such as adultery be subject to public stoning. Many of my informants were fearful that this would 'scare away' investors from Malaysia. 10. See M. Umer Chapra (1992) for an outline of this approach. See Muhammah Syukri Salleh (1992) for the 'Islamic entrepreneurial' approach of the Darul Arqam commune in Malaysia, a dakwah group wh ich was ulti mately banned by the Mahathir government for 'deviationist teachings' (New Straits Times, 17 July 1994). 11. For a discussion of NEP-era corruption, see Jesudason (1989). 12. See Kessler (1992), where he calls Malay feudal deference and loyalty 'folIowership' . Prime Minister Mahathir is increasingly 'followed' and beloved for his modernity. 13. A letter from the sultan or surat tauliah traditionally meant the holder had been granted a position of authority (Milner 1982). 14. 'Ali-Babaism' is a term widely used in Southeast Asia, describing a busi ness arrangement between a Muslim, 'Ali', and a Chinese, 'Baba'; these are stereotyped nicknames. The arrangement implies that the Malay obtains the Notes 209
licence or the permit for a business and the Chinese does all the work. See Jesudason (1989).
4 THE KAMPUNG AND THE GLOBAL VILLAGE
I. Tan Sri Azman Hashim is a highly public figure in Malaysia, whose ideas and opinions have been much subjected to analysis in print. Unlike the other names presented thus far, his is not a pseudonym. Except for an hour-Iong interview with hirn described in the text, my experience of hirn was as a public figure. As such, I feel his is an identity I need not protect. 2. See Guinness for a discussion of how this term has been used by the Malaysian government to stand for community obligations in economic development (1992). 3. See Nagata (1995) for a discussion of Malay women and the Islamization of their clothing. 4. The date of the fast varies from year to year. 5. Dakwah groups still criticize 'mixing' - in 1997, when Chinese New Year and Hari Raya coincided, the shopping malls advertised the shared pesta as 'Gong Xi Raya' , merging Chinese and Malay words into a phrase that was a pun for 'kongsi raya' - or 'shared festival'. Several dakwah leaders decried this as apostatic. The Prime Minister rebuked this atmosphere of pesta ill will in his annual Hari Raya address. 6. Peletz (1996) has written persuasivelyon the subject of nafsu and its dis ciplined opposite akal, especially in relation to gen der roles in Malay life. 7. The atmosphere of inclusiveness was further enhanced through the sending of holiday greeting cards across ethnic lines. My informants sent Chinese New Year's cards or Christmas cards to Chinese contacts and vice versa. 8. Issues of Malay harmony and classlessness as an ideal, not reality, are dis cussed by S. Husin Ali (1975) and Gullick (1981). See Shamsul A.B. (1986a) for a convincing claim that such idealizations have slipped into and distorted the anthropological research, making the subject of 'class' in tradi tional Malay life nearly invisible (Nagata 1975). 9. McAllister believes that it is a response to capitalist development that Hari Raya events have become status-orientated (1990), an argument that depends on a view that only in contemporary life have Malays become socially unequal or status-conscious. A colonial-era account written by a Malay reftected an idea that Hari Raya was the time for the higher-status host to we1come lower-status guests: 'One's own servants are received in the drawing room where they are served with food and drinks as guests of equaIity' (Muhammad Ghazzali, Dato' 1933: 283). 10. Frequently, Malay bosses provide an an nu al bonus to Malay employees just before Hari Raya Aidilfitri. Annual bonuses can range anywhere from 50 to thousands of ringgit. 1 I. Kahn has written persusiveIy on these symbols of 'revived traditions' in the Malay context (1992). 12. I thank Helene Tychsen for 'deconstructing' this advertisement. 210 Notes
13. Gutman dismissed the 'reality of the rags-to-riches myth' in nineteenth century America, demonstrating that most of America's powerful busi nessmen came from 'families of upper- or middle-class status' (1977: 211). The American myth of meritocratic entrepreneurship obviously needs some rethinking, even though it has been takell on whole cloth by my informants. 14. Malay businessmen have been very interested in Japanese business culture since Prime Minister Mahathir first extolled the virtues of Japanese-style management in 1981 (Mahathir Mohamad 1989) - the 'Look East' Policy. 15. There is a growing literature on the development of a Malay and Malaysian corporate culture, both in the popular media and relevant Malaysian man agement literature (see, for example, Asma Abdullah 1992). For studies of workers who are the focus of such ideology, see Ong (1987) and Guinness (1992). 16. See Mid-term Review of the Sixth Malaysia Plan (1993) and Mohd. Sheriff Mohd. Kassim (1991) for adescription of the NDP. For a critique, see lomo K.S. (l989a). 17. News clippings following the 'announcement' of Vision 2020 indicate that it was met with a certain amount of confusion over whether it was to be a systematic implementation of policies, like NEP, or if it was merely a set of 'guides' (see 'Project 2020: the first three months' 1991). Another criticism levelled against Vision 2020 was that the phrase was not really 'Malaysian', as it was presented by Mahathir first in English, then rapidly translated into Bahasa Melayu as 'Wawasan 2020', which did not have the same clever 'optically perfect' meaning as it does in English (Shamsul A.B. 1992a). 18. Having 'vision' has become associated with Prime Minister Mahathir as a quality that best represents Melayu baru. To most of my informants, the Prime Minister hirnself was an entrepreneurial visionary who had, since the publication of his Malay Dilemma (Mahathir Mohamad 1970), shocked Malays into the reality of modem times. At times, my informants spoke of his visionary powers not unlike tradition al descriptions of Malay leaders' daulat, a nearly magical capacity to role (see Khoo Kay Kim 1991; Khoo Boo Teik 1995). 19. See, for example, the essays in the govemment -sponsored volume Caring Society (Cho Kah Sin and Ismail Muhd. Salleh 1992), wh ich argue that caring qualities can be best fostered in the business setting. 20. The Mahathir administration recommends that Malaysia skip developing its huge stratum of resource-based industries and instead follows the South Korean/lapanese high-technology models. Malaysia does not possess a large technologically skilled labour force, however. For a review of Malaysia's Industrial Master Plan, see Anuwar Ali (1992). In 1996, when I conducted additional fieldwork in Malaysia, Mahathir's 'cybervision' for a 'multi-media high-technology super corridor' (MSC) had become the apex of Vision 2020' s hi tek. 21. Both the Marchland machine and the hi tek project which Rokiah and Ishak were engaged in are discussed in Part II. Notes 211 5 NETWORKING: THE SOCIAL RELATIONS OF ENTREPRENEURS HIP
I. There is arecent literature on the relationship between the state and the new economic elite in Southeast Asia (for example, Robison and Goodman 1996). 2. In the interests of space, I cannot discuss the field of 'network studies' or compare the Malay case to others, but a few details are necessary. The study of 'networking' in Asia is largely the study of Chinese networks, which Redding describes as highly functional and pragmatic (1991). He further argues (1990) that the Chinese networking system demonstrates an Asian capitalism, so that 'social networks' - which were first studied by social sci entists as a functional, proto-industrial, informal response (Hart 1973) to disruption and hardship in third-world economic development (Douglas and Pederson 1973) - are now described by one economist as the 'world' s fourth economic power' (Kao 1993). Using the Chinese model, entrepre neurship is now seen to be densely personalized socio-economic action at the level of firms, networks, and even nations (Chen and Hamilton 1991; McNamara 1990). It is a paradox to me that many of the positive, functional attributes of Chinese networks - socia1 linkages, political alliances, patrimo nia1ism, trust-building in closed groups - are negatively attributed to the Malays, where economic personalism in capitalist development is seen merely to be a function - indeed, a dysfunction - of the patronage-dispens ing state. The Chinese, usually seen as politically disenfranchised minority entrepreneurs thriving in economic margins in spite ofthe immense power of the state, have been less frequently studied in modern, corporate organ i - zations or in collusion with the state. When they have, there appears to be an overwhelming presence of close business-state ties, such as in the Korean chaebol or 'financial clique', what one researcher calls 'dependent entre preneurship' (McNamara 1990). While I know little of small-scale entre preneurship among the Chinese in Malaysia, it was clear to me that much of the success of larger-scale Chinese business in Malaysia is extremely depen dent upon its entrepreneurs' collusionary relations with Malay and Chinese political power (as many entrepreneurial enterprises are similarly dependent on sources of elite power in America, a point which Mills [1956] made long ago). In Malaysia, a study of high-level Chinese networking would be as much a study of seeking access to 'virtuosi' as I will demonstrate it is in the Malay case. But somehow the Chinese escape the critique to which other business groups in Asia are subjected - see, however, Gomez (1994) - as researchers have a tendency to generalize the overseas Chinese as victims of hardship and inventors of economic paradigms, thriving in economic margins, even when they are not. It is my position that dependent entrepre neurship is a relative1y uniform characteristic of modern, rapid, state directed capitalist development in the Asian 'miracle' economies, Chinese and otherwise. 3. Anthropologists interested in entrepreneurship and economic action have long understood the importance of networks, before they came into vogue. 212 Notes
See Carroll (1965) for one cIassic in this genre. Barth' s concept of 'bridging' transactions and his view of entrepreneurship as social action (1963; 1967) have had a lasting impact on theories of networks and alliances. Most non ethnographic studies of networks are highly mechanistic, borrowing lan guage from computer and management science which has little re\evance to social analysis (see Larson and Starr [1993] for an example of this as weIl for a bibliography of similar studies). Bott' s (1957) early study of social net works in England captures the importance of networks and personal entail me nt in modem, urban, industrialized social and economic settings which I perceived in Malay society. For references to Chinese networks, which are mostly analyzed in functionalist language reminiscent of early British social anthropology or management-school texts, see note 2 above. 4. The image of economic development presented by the Malaysian govem ment to which my inforrnants responded suggested a fount of opportunities for Malays, and, as such, 'bricolage', which implies to anthropologists a kind of non-rational 'ad-hoc' mentality (cf. Geertz 1963b; Hobbs 1988), had a very rational purpose as entrepreneurs scrambled to access them. I would also argue that to market Wall Street investments is also often a process of bricolage. 5. For examples of other anthropologists who perforrned a role in local Asian businesses, see Cooper (1980) and, a paradigm of the genre, Kondo (1990). 6. Company names in my case studies are pseudonyms with which I have attempted to capture the fiavour of the actual names. 7. Just before the market fell, a block of condominium apartments called Highland Towers collapsed, apparently a result of faulty construction. This dis aster rapidly became seen as a moral crisis. Many of my inforrnants feit that Allah was punishing Malaysia with Highland Towers for putting 'easy weaIth' before humanistic concems, and in retrospect, they realized it was a foreshadowing of the stock-market crash in which they were to recognize themselves guilty of the same sins. 8. Malay entrepreneurs whom I knew were rather like Schumpeter's entrepre neurs in that they thought little about organizational business issues, perhaps intending to leave them to those less inventive, whom Schumpeter called 'managers' (1934).
6 THE BUSINESS OF ALLIANCES: THE SOCIAL EMERGENCE OF A DYADIC ENTERPRISE
1. Among other programmes were Amanah Saham Nasional and Amanah Saham Bumiputera. These programmes distributed to bumiputera who invested in them an enormous quantity of shares in govemment-owned companies. See Mehmet (1986) for a critique. 2. It is easy to incorporate a company in Malaysia. A Private Limited Company (Sendiran Berhad or Sdn Bhd) must lodge articles of incorpora tion with the Registrar of Companies, show proof of minimal paid-up capital, and pay appropriate fees. The process can take as little as live days. Many of the bumiputera companies I became familiar with were started as Notes 213
'two-dollar companies' to claim MIT! shares. I must note that my attempts to obtain statistics from the Registrar of Companies conceming the number and capitalization of bumiputera companies incorporated in the past seven years were fruitless. In my experience, it is impossible to examine statistics of this kind in Malaysia. 3. Business cards have an almost semiotie importance in Malaysian business; the same phenomenon appears elsewhere in Asia, particularly in Japan. 4. Other writers have noted that business groups in late-industrializing coun tries generally lack the technical or marketing expertise needed to grow, and, as such, tend to diversify widely into unrelated markets to increase capability (Gomez 1990; Zeile 1991). The two colossal conglomerates which began the Malaysian 'merger-and-acquisition' system of growth on behalf of bumiputera in the NEP period were PERNAS and PNB. See Gale (1981) and Mehmet (1986) for an analysis.
7 DANGEROUS BUSINESS: THE SOCIAL LIMITS OF AN ENTREPRENEURIAL IDENTITY
1. Marchland received approval for its million-ringgit loan in 1992, when a total of 132 10ans with an aggregate ringgit value of 21.4 million was pro vided to bumiputera enterprises under the scheme (Bank Pembangunan Annual Report 1992). The 10ans were part of a massive programme called the 'New Entrepreneurs Fund' which was launched in 1989 to 'encourage new Bumiputera entrepreneurs to venture into various fields of business, in partieular, manufacturing, agriculture, tourism and export-oriented busi nesses' (Bank Negara Annual Report 1993). Marchland, perhaps because it was a manufacturing enterprise in an area dominated by Chinese, received significant support from the Bank. Bank Pembangunan has been providing entrepreneurial loans since 1973, when it, along with many other institu - tions, was set up to ensure a constant ftow of development funds to Malay capitalists (Jesudason 1989). 2. MARA (Majlis Amanah Rakyat) was set up, among other purposes, to provide loans and support to small bumiputera enterprises, a pre-NEP pro gramme to develop Malay entrepreneurs which was dramatically expanded after the introduction of NEP (Chee Peng Lim et al. 1979). Its role in the creation of small-scale Malay entrepreneurship, despite enormous expend itures, was negligible. Its role in providing other funds for Malay develop ment, such as in tertiary education, however, was enormous, as all of my informants had been funded totally by MARA for advanced studies. 3. All of the recipients of large loans from Bank Pembangunan that I inter viewed complained bitterly about such delays and of the poor administration of their loans. 4. The sheer importance given to sub-contracting in Malay entrepreneurship is inestimable. 5. A trading company is also known as a company whose principals obtain corporate and govemment contracts and then broker or sub-contract them to others. 214 Notes
6. Months later, when going through issues of a local Malaysian business mag azine, I came across an article which might have provided some of the answers I had been seeking. Apparently, Dato Hassan's conglomerate had proposed aseries of projects to the Ministry of Transport to help reduce Kuala Lumpur' s traffic congestion; among those suggested was a bus line. It is conceivable that the luxury bus job had its genesis in rumours or discus sions about this project. 7. See Li (1989) for a discussion of witchcraft and business jealousy among Malays in Singapore. 8. Men are said by Muslims to be more able than women to control their pas sionate natures through reason. For a definitive discussion of reason and passion, see Kessler (1978); for one that confronts the complex issues of gender in Islamic Malay society, see Peletz (1996). 9. This sort of female hantu or ghost is common in Malay communities; Pe letz (1996) analyzes it symbolically in terms of ambivalence for women's blood. 10. This name is not a pseudonym. Mazneh Hamid was a public figure I did not know personally.
8 VIRTUOSO ENTREPRENEURS HIP: DEVELOPMENT AND WEALTH FOR ALL MALA YS
I. See Chapter 6, note 1. This unit-trust scheme had supplied its bumiputera onl) investors with annual returns of 12 to 20 per cent since its inception in 1981. 2. True pyramid schemes had been illegal in Malaysia since the 'Holiday Magic' scandal in the 1980s, when thousands of people lost money sub scribing to a direct-selling scheme which involved outright fraud. When the Direct Selling Act and Regulations 1993 banned 'pyramid' recruitment in Malaysia, it was understood that somehow products had to exist in the organization, whether they were sold or not. 3. Anyone who has attended a membership meeting for such organizations will understand the concept of what I call the double miracle - that the very product that cured you can change your life and the lives of those you love by making you rich. The definitive study of direct-sales marketing, to which I owe a great deal of my understanding, is Biggart (1989). 4. For a cross-cultural analysis of this phenomenon, see Ardener (1964). See Freedman (1959) for a Chinese example; Geertz (1962) for an Indonesian example. My informants belonged to smaller groups of ten or twelve which they called kutu, while they reserved the term arisan for larger groups of 50 to 100 members. 5. I was also aware of more traditional-format kutu groups in Kuala Lumpur, especially among government clerks and schoolteachers, where the group did not have a social context but merely formed to save and dis tribute money. This is closer to the description of a kutu in Carsten (1989). 6. This was the only time I was offered a chance to invest in the business of any of my informants. Usually, my informants offered to make an invest ment in me, for they believed that the skill I had in writing up marketing lit- Notes 215
erature was one which Malaysia sorely needed, and many people suggested that I return someday to start an entrepreneurial business with them.
9 CONCLUSION
I. Bank Negara, the national bank of Malaysia, has devoted significant funds to an Enterprise Rehabilitation Programme, a source of refinancing of 'ailing Bumiputera enterprises' (Bank Negara Annual Report 1993), which in many cases rehabilitates by first taking over the majority ownership and then the full management of bankrupt businesses that had been funded by the New Entrepreneurs Fund, the scheme which had provided the capitaliza ti on of Marchland. References
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MALA YSIAN GOVERNMENT PUBLICATIONS
Bank Negara Annual Report 1993 Bank Pembangunan Annual Report 1992 Direct Selling Act and Regulations, 1993 Mid-term review 0/ the sixth Malaysia Plan 1991-1995. 1993. Kuala Lumpur: Government Press. Social Development Trends Bulletin 1980-1990. 1991. Kuala Lumpur: Socio Economic Research Unit, Prime Minister's Department.
NEWS PAPERS AND MAGAZINES
Berita Harian (Kuala Lumpur) The Economist (London) Financial Times (Kuala Lumpur) New Straits Times (Kuala Lumpur) Star (Kuala Lumpur) Index abang (brother) 183 Bank Pembangunan (Development adat (Malay customary law) 24, 197 Bank ofMalaysia) 151,153, adultery (zina) 40 155,213n 'Ali-Baba' company 84,208n bankruptcy 156, 158, 215n alliances see business alliances, Barth, Fredrik 16, 212n social alliances Boesky,Ivan 59,174,191 Amanah Saham Nasional 173, 212n boh sia ('no sound') girls 36 America, economic culture 8-9, 59 bomoh (traditional healers) 163, myth of entrepreneurship 210n 164-5 anthropologist bumiputera see New Economic Policy as entrepreneur 14 business alliances 134-5, 136, exchanging services 14-5, 126 138--40, 145, 174, 182--4 anthropological theories dyadic and myriadic 135-6 of entrepreneurship 11, 16, 190, see also social alliances 211-12n business cards 136, 213n of Malay entrepreneurship 190, business language 80, 191 206n 'know-how' and 'know-who' 79, Anwar Ibrahim 45 107, 120, 121,200 Arab Malaysian Bank 174, 184 see marketing language 15 also Tan Sri Azman Hashim 'win/win' 113, 173 Arabic influences in Malaysia 70, 198 capitalism arisan (rotating credit society) 179 definitions 8 see also direct selling, kutu Islamic 128 Asian 'miracle' 211n capitalization of businesses 133, 135, Asian values 111, 175 see also 145,146,151,172,182 caring society, Mahathir caring culture, caring society 83, Mohamad 109,111,113, 182, 2 IOn authoritarian culture in Malaysia 81 see also Vision 2020, Mahathir Azman Hashim see Tan Sri Azman Mohamad Hashim charity (zakat) 74-5 childhood bagi nafkah (the part distributed for collectiveness of 26 sustenance in Muslim marriage) obligations of 27 31,37 child-rearing 24-5, 37 Bahasa Inggeris (English language) Chinese 3,49,50-2,62,96, 109, ix,20 137,181, 205n, 206n Bahasa Melayu (Malay language) ix, monopoly on economic activity 49 4-5, 147, 152 Bank Negara (National Bank of networks in Southeast Asia 211 n Malaysia) 174 'new villages' 207n Enterprise Rehabilitation Programme racial bargain 81 215n see ethnic groups
227 228 Index civil service 6, 195, 2060 economic modemization 46 culture of 30, 77-8, 97 economic 'outsiders' 49-51 civil society 111, 129, 189, 196, economic past 62, 77-9 203 education see New Economic Policy colonial period 205n, 206n elites 7,60,97,119,120, 195,211n constitution of Malaysia as entrepreneurs 12 constitutiona1 crisis of 1993 81, entrepreneurs see Tan Sri Azman 85 Hashim, Dato Hassan Malay rights 5 (pseudonym), entrepreneurs' racial bargain 1957; Article 153 businesses, women 81,205-6n entrepreneurs' businesses Sedition Act 1948 81 as alliances 134--5, 136-7, 138-40, corporate (korporal) 174, 182-4 books 107 'Amanah Anak-Anak Melayu' brochures 153 (Malay Children's Trust) 169, culture, Malay Muslim theories 171-6,181-3,189; prospects 59, 76-77, 80, 106-8, 109, 202, for 184--6 210n 'CrossLinks' 127,189; LIMA 'family days' 108-9 computer kiosks 138-40, 147; image of 23, 60, 77, 80 MITI shares as capita1 133, language see business 1anguage 135, 193; networking 136-38, open houses 99 148 cultural inheritance 47 'Educational Game 2020' (EG2020) 19-23, 51; planning 52-3 dakwah 68-9,70,71,72,73,77,91, failures 12, 193-4,202 195,208n,209n 'Marchland' 114, 136, 139, 151--4, Darul Arqam 208n 156,164, 178,189,193; Dato (Sir) as ideal husband 41 'Iuxury bus contract' 156-7, Dato Hassan (pseudonym) 47,67, 158,159-161,201 107, 108, 109, 122, 167 see also direct selling as focus of networks 157-8 entrepreneurship ideas on the future 85-7 anthropological study of 11 luxury bus contract 157-61,201 development theory and view on dakwah 73 entrepreneurship 10-11 'virtuoso' 58-61,202 duty and identity of 12, 23-4, 44, Vision 2020 theory 111-12 67, 194--7 see also 'kampung (village) boy' as inclusion in modem life 53-5 Deve10pment Centre of the OECD 10 'know-how' or 'know-who' 79, direct selling 179,180,199; Amway, 107,120,200 A von, Shaklee, Tupperware as research problem in anthropology 154,176-7,178 7-10 Direct Selling Act and Regulations 'virtuoso' 58-61,79,81,108,167, 1993 177, 214n 201-3 similarity to 'rotating credit society' Western models 9 179 women's ro1e 197-9 divorce 38-40 see also Is1amic economics, networks, Djamour, Iudith 33, 34, 35 entrepreneurship's effects on life 13 duty (wajib) see obligation aod duty promise of rewards 64--8 Index 229 ethnic Hart, Keith 9, 11 complementarity 4 Hassan, Dato see Dato Hassan connectedness among Malays 44, Highland Towers 212n 45-6,56 high-technology (hi tek) projects and conflict 4, 50, 53 entrepreneurship 8, 114, 139, groups in Malaysia 49, 50, 205n 140, 153, 155, 210n riots (13 May 1969) 4,50,81 holding companies see gabungan ethnicity 21, 49-50 (conglomerate) companies houses and hornes families 23,24,26,37, 196 decor 151 corporate 108-9 displays of status 95, 97 remittances to 27 and Malay definitions of culture symbolic 54 96-98 see also 'siblingship' renovations to 27,98 fasting (puasa) 65,93-4 women's domain 31 fate (takdir) see Muslim belief and identity ikhtiar (free will) see Muslim belief feasting see kenduri and identity festivals see Hari Raya, Malay illegal immigrants 207n tradition and customs ilmu (knowledge) 162, 164 'feudal' culture 78,84 incorporation of businesses 212n Firth, Rosemary 33 International Islamic University (IIU) food 69 emotional sustenance of 25 Islamic stalls 19, 36, 162 corporate culture 59,76-77 see fasting economics 64-8,69,73-7 180, Ford, Henry 47 208n; investing in stock-market 74,128-131 gabungan (conglomerate) companies fundamentalism 35, 198; see also 136,158,183,193,207n dakwah Geertz, Clifford 9,57, 206n notions of fate and reward 62-3, general elections 1969 4 64-7 theory of capitalism 128 haj (pilgrimage ) 61, 65, 66, 158 Treasury (Baitulmal) 75 hajah (female pilgrim) 167 view of poverty 63 Hari Raya (Muslim holiday) 91,93-4 view of work 63 balik kampung (returning horne to see also Muslim belief and identity the village) 101-4, 109 Islamic Religious Department, Pusat bonuses 101,209n Agama Islam 38 communal relations during 94-6, IsIamization see dakwah 209n Hari Raya Haji 28 Japanese business culture 107, 137, hospitality culture 95-97 210n national culture 91-3 Prime Minister' s speeches 62, 64, kampung see Malay tradition and 95,209n customs, 'Malayness' theories 'showcase of culture' during 97-8; 'kampung (village) boy' 86,89, open houses 98-1 01 105 television advertisements 103-4 'kampung (village) girl' 167,197 see Malay tradition and customs karaoke 106, 107, 108 230 Index
Kessler, Clive S. 66,68,93, 207n, open house 94-6, 105 208n,214n pesta (festival) culture 91-3 kenduri (feasting) 94-5, 126 see also Hari Raya, kenduri khalwat (elose proximity) 70 'Malayness' theories 48-9,89-91, kinship see 'siblingship' 115 kutu 179, 180, 214n see also basis for ethnic identity 48-9 arisan, direct selling boundaries around 48 economic outsiders 49-5 I lepak ('hanging out') 36 fatalism 62 LIMA (Langkawi International laziness, passivity 62, 181 Maritime and Aerospace) Show kampung (village) identity 89-91, 138--41 109,110,114-15,197; as a collective past 104; as a Mahathir Mohamad 21,27,85, 110, commonplace past 104; 181,189,194,202, 208n, 210n mentali kampung 62, 79; a commoner Prime Minister 82 perceived egalitarianism of constitutional crisis 81 97; providing norms for Hari Raya speeches 62, 64, 95 corporate Iife 106-110; high-technology views and projects romantic view of 101-3; 114, 139, 210n Sri Melayu restaurant 105 Islamization 69 non-Malay Muslims as outsiders Japanese business 137,21On 48--49 LIMA 138, 140 see also Hari Raya Sri Melayu 105 Malaysia Top Woman Entrepreneur award business statistics 205n ceremony 168 double-income families in 207n view on pesta (festival) culture 92, non-Malays 14,91-3, 107-8, 114, 209n 115,128,164-5,194,195; view on sultans, Artiele 153 of 205n, see also Chinese Malaysian Constitution 82-3 population 3, 205n UMNO 69 see also constitution of Malaysia Vision 2020 83, 110-12, 210n Malaysian Islamic Party, PAS 69,70, Maids 49 208n Malay College Kuala Kangsar manufacturing businesses see (MCKK) 46-7,60 entrepreneurs' businesses, as paradigm of networking 46 'Marchland' Tun Daim Zainuddin 207n MARA Malay College Old Boys Association educational funding 213n (MCOBA) 46 entrepreneur loans 213n Malay sultans 78,81--4,87, 104 'Hall of Entrepreneurs' 153 'letter from the sultan' 208n marketing 14, 142, 154, 155, 194 Malay tradition and customs 24-6, marriage 27-32, 70, 207n 69,91 age at 30, 207n kampung (village) culture among changing patterns 29 modem Malays 101-3,109; contract 32 in advertisements 103--4; set confticts 27,29, 32, 37 of values for modem Malays and money, finances 37,41-2 89-91,110-112 Quranic definitions of 31-2 hospitality culture 96-101 see divorce, polygamy magic and sorcery 163, 164 Marxist theory of entrepreneurship 11 Index 231 materialism 27,97 see also entrepreneurship theory, Mazneh Hamid 167-9 duty and identity McKinley, Robert 42,43 Muslim marriage and divorce see Me/ayu baru (new Malays) 23, 57, marriage, divorce 84, 103--4 myriadic principle of entrepreneurship impugning hierarchy 45, 84, 85 136 polygamy among 39 social connectedness 45, 53 nafsu (desire) 93,163, 209n meritocracy 85, 131, 195 National Development Policy (NDP) American myth of 210n 110 and direct selling 177 networks 22,47,120,121-5,192, and networking 121 201 Milken, Michael 59, 86,174,191 LIMA Show as focus 140-3, 147 Ministry of International Trade and 'meat deal' 122-3 Industry (MIT!) MCKK 46-7 MITI 'free shares' 133, 135 'negative' networks 161-2, 163--4; see also entrepreneurs' business, see also Mazneh Hamid 'CrossLinks ' open houses 98-101 modernity theories of 211 n definitions of 4, 45, 189 women' s role 155-6 entrepreneurs as examples of 12 see also direct selling, women kampung-style 89-91 New Economic Policy (NEP) 5, 12, see also Mela:ru baru 27,77,99,111,123,133,194-5, Mona Fandy 165, 166 196, 199, 202, 205n money bumiputera 5, 7, 10, 137, 173, 205n Islamic view of 64-5 bumiputera-ism (negative views) and marriage 29, 41--42 77-9 and parental obligations 27 civil service 79 power of 34 cohort 45-7,119,123,197,199 and sibling conflicts 43 contradictions in 6 and women's status 33-35 corruption 78,84-5,200 morality dakwah 68 'Ioose' women 30 see sex and education 6, 30, 36, 45-6, 46-7, sexuality 90, 172,199,206n multi-media super corridor (MSC) Malay College Kuala Kangsar 2 !On (MCKK) 46-7,60 Muslim belief and identity 48, 58, MARA 153,213n 60,67, 85, 189 National Development Policy (NDP) charity (zakat) 74-5 110, 111 economic activity reveals true Islam 'national unity' campaign 49 67 poverty eradication programmes fate (takdir) 62-3 119 five pillars of Islam 65 quotas 6, 208n free will (ikhtiar) 63, 65, 129 targets 205n non-Malay Muslims 48 training 10 sincerity (ikhlas) 66, 129 New Entrepreneurs Fund Scheme in Vision 2020 112-13 151, 213n, 215n livelihood (rezeki) 62 nlisYIiZ (reca\citrance of a wife) 31, spirit (roh) 59, 143 38,40 232 Index obligation and duty (wajib) 20,23, dass 46, 119, 209n 24,25,27,42,44 relations 42-4, 144--7; NEP cohort charity (zakat) 74--5 45-6 conflicts of duty 28-9 status 23,27,97-8, 206n see duty owed to mothers; the story of also elites Si-Tenggang 24--5 squatters 89 ethnic 42 Sri Melayu (restaurant) 105-6, 180 material duty; money 26-8, 53 stock-market marital (conjugal) duty 28-9,31-2 Stock Exchange 74 to parents or spouses 28 stock-market boom and crash of women's 31-2 1993 128-9 see also entrepreneurship theory, Islamic view of 74, 75 duty and identity sub-contracting 139,156,157, 213n sultans see Malay sultans Peniagawati (women's networking group) see women Tan Sri (Lord) honorific 20 I PERSUMA (men's networking group) asidealhusband 41 47 Tan Sri Azman Hashim 90, 105, 106, polygamy 38-40, 207n 107-8, 109, 122, 167, 202, 209n status of women 40-1 Arab Malaysian Bank 174, 184 poverty kampung (village) values 106 Islamic view 62, 63 karaoke 106 rural 6 Sri Melayu (restaurant) 105 P. Ramlee 101 'virtuoso' identity 106 Prime Minister Mahathir Mohamad television ix, 70, 103-4 see Mahathir Mohamad tourism 13 and entrepreneurship 141 Quran 31,66,73,107 trading company 156,213n Tun Fatimah award 157 Rafidah Aziz, Minister of Trade and 'two-dollar' company 133, 212-13n Industry 158 Tychsen, Helene 209n rakyat (common people) 82 reciprocity and exchange 15 United Malays National Organization in entrepreneurship 126-7 (UMNO) 5, 69, 74, 99, 112, RockefeIler, John D. 47,191 194, 200, 202, 203, 205-6n corporate holdings 207n Schumpeter, Joseph 10-11, 206n, networking in 200,201 212n Wanita (women's division) 123, Schumpeterian entrepreneurship 122, 124 137,206n sex and sexuality 31, 162, 163, 165 'virtuosi', 'virtuoso' see siblings 42, 43, 44 entrepreneurship theory, Dato in conflict 43 Hassan, Tan Sri Azman Hashim, 'siblingship' 42-4,49, 123 Weber, Max; women terms 45,49 venture capitalism 8 Si-Tenggang (folk tale) 24 Vision2020 17,83, 110--14,21On social alliances 29-30 Wall Street 8, 12,59 change 68-70 as an identity 127 Index 233
Wanita magazine 151 Peniagawati (networking Weber, Max 8,206n group) 47,121,152,154, on Ca1vinists 57,65 161, 179 see also direet 'virtuosi', 'virtuoso' 58,79,81, selling, Mazneh Hamid 108, 167,201-3 mentaliti kampung of 197 West, Westernization 'money-handling' 33-5 as eonspiraey 27 mothers 24, 206n; story of as individuation 45, 175 Si-Tenggang 24-5 fears of 36 magie and power of 163--4 Women 'Mona Fandy Trial' 165, 166 autonomy of 31,33--4, 197, 199 sex and sexuality 31,162,163, 165 awards to 157,167-8 status of Malay women 33-7 eonjuga1 duty 28-9; Is1amie view 'virtuosi' 199 31-2, 70 working women 34-37 entrepreneurs 27, 30-1, 123, 151, see also marriage, divoree, 155-6,167,197-9; polygamy